The "Claw-Back" What is It?
56"Not so Fast."
Getting Something in Return
Barney Frank, Congressman from Mass., has proposed that any bank or other company that wants to feed on the government money that will be available if the Paulson Plan passes Congress will be subject to having the pay of its top executives over the past recent time (Time period to be determined) subject to being parially "clawed back" and returned to the American taxpayers.
For example: Lehman Brothers went bankrupt one week ago. Its CEO earned a performance bonus that was paid to him in March of this year. His bonus for leading the firm into bankruptcy? A mere $22 million!
Barney Frank wants to make sure companies that benefit from taxpayer funds under the Paulson Plan--and these are companies that have essentially run themselves into the ground, remember--are not and have not and will not reward their executives with ridiculous salries and bonuses while at the same time average Americans are having their homes seized through bank foreclosures.
Paulson and Bush oppose this fair and sensible proposal, of course.
MyBlog: http://ProteanPerspectives.blogspot.com
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Fair is Fair
Should Executives of Failed Banks, Wall Street and Other Firms Earn Millions From a Bailout?
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